The Memphis appeal. [volume] (Memphis, Tenn.) 1886-1890, 1887-02-08
LEGALITY OF THE LOTTERY.

| ex raOrolnary drawing Wnlcn toOh Piace yes-
| teTday.
LEGALITY OF THE LOTTERY.
The first duty Of the Chronicle reporter was
| to ascertain Il legal status OF the concern.
docs il have a egal existence2" was the
question he pat TO a leading member Of the
Louisiana Bar, and a gentleman who will
soon occupy high Judicial position in the
State.
promptly. ats franchise is now unques-
toned in law. In 1868 tle Legislature Of
Louisiana en- cted law entitled. An act TO
increase tn revenues of the state, and to
suthoriZs the Incorporation of the Louisians
State Lottery Company, and to repeal certain
acts now in iorce.' This act provided that
no foreign lottery tickets shoul id be. sold
within he State, and gave to certain citizens
named au hOrity 10 organize corporation
TO protect the State asaiust the great losses
heretofore incurred in sending large mounts
of money to foreign countries lor The pur-
chase oflottery tickets, to establish solvent
and reliable homo Institution, and 20 insure
per ect fairness and justi 0 in the disiribu,
ton OF prizes. The capital stock was fixed
at 81 zoo, 600, in shares of 500 each. There
were provisions for n Board OF Directors and
oil the corporate rights to sue and to
be sued, etc. The duration OF the lottery
YVES to DO for twenty-fyeSe - TWAS to pay
$40 900 year to the educa. UIai fund, and
was required 10 give bonds to carry out these
provisions. The Constitution of Louisiana,
adopted in 1879, touches the lottery question
ARrIoLR 167. The General Assembly shall
have authority to grant lottery charters or
PRIVILEGES; provided, each charter or prlyll-
ege shall pay not less than siO'Oeo per an
mum In money INTO the treasury OF the state
and prov ded further, that all charters shall
cease AZ d expire on the l I of January, $3.50;
from which time all lotteries are prohibited
in the state.
law to be paid by The Louisiana State Lot
terry Com pany, accOrdipg to the provisions
of its charter granted in tho year ls68, shall
bslong to the Charity Hospital OF New Or
recogn Eed as a c ,ntract binding Oh the State
for the peri d therein specified,
except its monopoly clau'e,, which
is hereby abrogated. and all laws
are hereby scisred null and void provided,
said compy shall file written renuncia-
ton of all monopoly features in the office
of the Secr1 larry Of State within sixty days
after the ratification Of this Constitution.,
These conditions were promptly accepted
by The Louisiana Lottery Company; indeed,
this constitutional provision guaranteed the
Company exactly Whist It was conSending
It pcs,essed.a contract with the State OF
Louisiana. This posi- ion has been further
strengthened by u decision OF the United
States Supreme Court rendered within few
days. An effort was made to tax the lottery
company under an act taxing stockholders
IN eOTpOTuLtOub DlhNo hhN OlbJ ReiPUso.
This tax the Company resisted, on behalf oil
its shareholders on the plea that the Com-
pany had valid and bona ide contract
with the State, and that 1t commuted the
EhGo tax BY the OF U.a wear wear
supported b. the United States Supreme
Court, which holds that The lottery
company does have q legal and binding
contract with the State OF Louislana,
and that. any attempt to extort from 1t
a sum in Nexcess OF the $4,000 Is u Q.
gal This decision, however, carries with 1T
a benefit to the Louisiana Lottery some
thing more important to the managers than
the mere saving of dollars and centsIrecoS-
milton by the laws OF Louisiana and of the
nation as q corporation engaged in legiti-
mate business under legal and valid char
ter. This recognition II the validity of con-
trsci gives The Louisiana State Lot cry
what no lottery has ever had in America
81 zee the avs o. Washington and jefferson,
when the Presidents were authorized TO
draw lotteries for the benefit OF the national
cspital-a legal existence for the period of
its charter.
A RECOGNIZED INSTITUTION.
The leyal status of The Louisiana State
Lottery is thus clearly and indisputably es-
tablished. One cannot long remain in New
Orleans without discovering that it is one Of
the rec ognized institutions of the CITY, and
this people. Wba'e' or the rest of the world
may think of lotteries, New Orleans believes
in thom. Intervows W tn the Preslderts Of
the leading ban ks, merchants and planters,
not only proved this, but the further fact
honesty of tn, management of the
drawing aud the perfect solveney of
the institution. Indeed, it is generally
asserted that the Louisiana Lottery Is
strongo! than any bank in the South, and all
tho ,nks cash its prizes at sight Its stock,
at $50. t. par value is sioo. The manage:
ment comprises the foremost citizens of
Louisiana, financially and socially consid
Z. Kohn, Pros don't of the Union National
Bank, said: II am not interested in lotter-
los in any way, and am opposed to gambling
think gambling should be ENCOURAGED, but If
ever an Institution deserved the irien dship of
apeoplo, the Louisiana State Lottery serves
=: Tondhp has Of Done oS DG Sns IS of ssl.
stantlv doing, a great work for humanity.
No one can imagine the farrreaching charity
of that institution Its vaults are always
open to the poor and the needy: 1t is a rich
Quoted with the str ctest integrity" ~.
j. IA. 0glesby, president of the Louisiana
National Bank, a conservative, careful BUSH
ness man, who does not believe in lotteries,
said: THE company is thoroughly iespnn-
sible, is carefully and honestly conducted"
A Baldwin, pres dent of the New Orleans
National Bank, said that the manager Of the |
lottery were thoroughly honest men, respon-
sible and charitable almost TO a fault.
p. o. Fe1ende, Of the banking house of |
FAzende Il Seixas, aid: There is no
stronger or more responsible corporation in |
America than The Louisiana state Lottery |
Company. The standltg of the managers in |
the community would preclude the idea Of |
dishonesty in connection with it. II could |
not afford to be dishonest. Its very life de- |
ponds upon its honesy, Itisstrictly honest, |
an ID has the full confidence of our people"
These sentiments were expressed by every |
man seen by the Chronicle re.
porter, and his interviews covered fifty diff |
ferent persons, in eve'y walk of life. Not |
one man was found who had an evil woI for |
the Lottery. though nearly all deptecate ted the
drawing of lotteries.
THE MANAGEMENT.
The reporter next presented himself at the |
management of the Company, and frankly |
stated the object of his mission. DR.. NJ. A.
Dauphin, the President of the Company,
promptly invited the reporter to feel at lib
erty TO examine the conduct Of the estab-
lishment. Tho Company is the owner OF its
own building, at the corner of II. Charles
and Union streets, isa ha, dsome sad
10 wholly devoted to the uses Of the lottery.
An army of clerks are engaged in keeping
up the record OF tickets, correspondence and
books Of this corporation. The system OF the
record Is kept OF every letter receiy d, and
thousands Of dollars pinned TO letters In
which they were received, are found IN a
sort Of dead-letter box, being letters that had
not boon signed or gave name and no adj
dress. These are scrupulously olred for I'M
iii demand, Is made for the money by care
less GORE pondents, or the persons are found
through an admirable system of tracers. The
letters pertaining 10 each Drawing are kept
Separately, aud subsequently, bound with
4. - HAn Al. msNaaw 20